just need part B

1. Answer the next two (2) questions on the basis of the information below. The one-year interest rate in the U.S. is is = 2% and in the euro zone the one- year interest rate is ie = 6%. The spot rate is $1.2471 per euro. a) What is the one-year forward exchange rate consistent with the no- arbitrage condition? Show your calculations. = 1.2471 1.02/1.06 =1.20 b) Based on your answer in the previous question, what is the annualized forward premium (discount) for the euro? Show your calculations